Written By Paula Pant
Well, this morning’s inflation report shocked — *checks notes* — absolutely no one who’s been grocery shopping lately.
The Bureau of Labor Statistics released its latest inflation report this morning, and it’s the worst report since August 2023.
The consumer price index rose 0.5 percent last month, and the bulk of the rise — 30 percent — comes from […]
By Paula Pant
Enrollment for Your First Rental Property is open! affordanything.com/enroll
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Today’s question is different.
There’s something special about it — and you’ll understand why in a moment.
An 84-year-old listener left us a voicemail about his struggle to break free from mortgage debt. He and his 83-year-old wife need to move from their two-story townhouse because they can’t climb the stairs any longer.
They found a single-story ranch house that fits their needs perfectly — except for one detail: it carries a crushing $4,200 monthly mortgage payment.
They do have one potential escape route from this debt: selling their Florida condo, a vacation retreat that they haven’t visited in years due to mounting chronic health challenges.
But Hurricanes Milton and Helene ravaged their building last year. The storms spared their unit but destroyed the lobby and submerged their car in floodwater. The devastation slashed $100,000 from their property’s value overnight.
Now they face an agonizing decision: Should they accept this massive loss and sell the condo to free themselves from debt? Or would selling now, after such a steep drop in value, mean locking in their losses?
Joe and I have answered hundreds of questions from our listeners over the years. But this question is special. It comes from my Dad.
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Here’s the transcript of my father’s full question:
Hi Paula and Joe,
My name is Prahlad. I am 84 years old, and my wife is 83. We live in a two-storied townhouse in Atlanta and also own a two-bedroom condo on the beach as a second home in Clearwater, Florida.
Recently, we purchased a one-storied ranch home in Atlanta so that we don’t have to go up and down the staircase at this old age.
Our condo in Clearwater is on the 9th floor of the 14 storied building. We love the condo with views of the Gulf of Mexico and the Bay. However, we have not been able to visit it for a long time due to our underlying health conditions.
We purchased the condo for $400,000 in 2015 and it was estimated to have appreciated to $800,000 in 2022. Since then, the price was estimated to come down to $775,000 in the Spring 0f 2024.
As you know, this area was hit by two major hurricanes Helene and Milton in September and October last year. The lobby of the building was flooded with extensive damage and it is still under construction. The parking area under the roof was also flooded and our car was totaled. Fortunately, our condo did not suffer any damage.
There has not been any significant real estate buy and sell activities in this neighborhood since it was hit by the hurricanes last year. My real estate agent estimates that the current value of the condo is $700,000.
This building has been preparing for a major renovation of the plaza deck for the past few years, and we or the future owner anticipate to be assessed a large amount – maybe $30,000 – for the renovation.
We were hoping that we could sell the condo and pay off the mortgage for the ranch home we recently purchased in Atlanta, and be debt free.
What do you think – should we sell it now or wait until some later time – maybe until next year?
Your advice would be highly appreciated. Thank you both for what you do.
Written By Paula Pant
Today, millions will watch the Super Bowl.
But while most eyes are on the field, I’m thinking about the many winners who made their move when opportunity knocked:
The local Airbnb hosts who spotted this opportunity when New Orleans was announced in 2020, learned to analyze properties and secure financing, and turned their preparations into peak-season […]
By Paula Pant
Todd is in a real estate bind. He found out six days before closing on a new home that it wasn’t legally sellable. And renters are moving into his current home in two weeks. What should he do?
Anonymous is excited about expanding her real estate portfolio. Should she sell her $2.5 million rental property in the Bay Area to do this, or can she keep it and leverage the equity instead?
Former financial planner Joe Saul-Sehy and I tackle these two questions in today’s episode.
Enjoy!
Written By Paula Pant
Over the past decade of teaching real estate investing, I’ve noticed something fascinating:
… almost everyone falls into one of three distinct patterns.
Today, I want to share these patterns with you.
As you read, you’ll likely see yourself in one of them. More importantly, you’ll understand why these patterns exist — and what to do about […]
By Paula Pant
What would you do if someone in authority told you to do something that felt wrong? Most of us like to think we’d speak up, push back, stand our ground. But research tells a very different story.
In fact, when Yale researchers conducted a famous experiment in the 1960s, they found that 65% of people would administer what they believed to be deadly electric shocks to another human being… simply because someone in a lab coat told them to.
Today’s guest has spent over 15 years studying why humans comply with authority – even when every fiber of our being is screaming that we shouldn’t. And when it comes to our money, this tendency to comply with authority figures – from financial advisors to real estate agents to car salespeople – can cost us dearly.
Dr. Sunita Sah began her career as a physician in the UK’s National Health Service. During one particularly exhausting period as a junior doctor, she agreed to meet with a financial advisor who had contacted her at work. That meeting sparked questions that would shape the rest of her career: Why did she feel pressured to trust this advisor, even after learning he had a conflict of interest?
Today, she’s a tenured professor at Cornell University, where her groundbreaking research on compliance and influence has been featured in The New York Times and Scientific American. She’s advised government agencies, served on the National Commission on Forensic Science, and helps leaders understand the psychology behind why we say “yes” when we really want to say “no.”
Whether you’re meeting with a financial advisor, negotiating the price of a home, or discussing rates with a contractor, understanding the psychology of compliance could save you thousands of dollars – and help you make better financial decisions. Today’s conversation isn’t just about psychology – it’s about protecting your wealth by learning when and how to say “no.”
By Paula Pant
Krish is fascinated by cryptocurrency and its impact on global investing. What opportunities should he capitalize on, and how?
Apar’s income has more than doubled after he started his own business. His advisor recommends Roth contributions but he’s skeptical due to his high income. Who’s right?
Keith is frustrated by the conflicting advice he’s heard about Roth conversions. Is it better to do it while he’s young and earning a lower income, or should he wait until closer to retirement?
Former financial planner Joe Saul-Sehy and I tackle these three questions in today’s episode.
Enjoy!
Written By Paula Pant
For 76 years, the British Cycling team tried – and failed – to win the Tour de France.
The pattern seemed unbreakable.
Until 2012, when everything changed.
That year, a British cyclist won the Tour de France. Another took second place. And for good measure, the team claimed 8 gold medals at the London Olympics.
[…]
By Paula Pant
At age 7, Dr. Jordan Grumet lost his father. This early loss shaped his career path — he became a physician, following in his dad’s footsteps. But by 2010, feeling burned out from internal medicine, he took an unexpected turn: he became a hospice doctor.
In this episode, Dr. Grumet joins us to discuss what he’s learned from thousands of conversations with people in their final days.
These discussions have revealed a pattern: people don’t typically regret their bank balance on their deathbed. Instead, they regret not pursuing the activities and dreams that truly lit them up.
Dr. Grumet explains the difference between what he calls “Big P Purpose” versus “little p purpose.” Big P Purpose involves major life goals like becoming president or curing cancer. Little p purpose, by contrast, focuses on the process — finding activities you enjoy regardless of the outcome.
He shares the story of a young professional who loved competitive cycling. While working a demanding nonprofit job, this person started fixing bikes at races on weekends. This side project combined his skills and passion, eventually creating enough income for him to reduce his full-time hours.
Dr. Grumet introduces three key concepts for building more purpose into your life:
– Joy of Addition: Add activities that excite you, even if just for 15 minutes daily
– Art of Subtraction: Remove activities that drain you
– Substitution: When you can’t add or subtract, swap one activity for another
He emphasizes that money isn’t the only tool for creating change. Youth, energy, relationships, skills and community can be equally valuable resources. A 22-year-old might lack funds but has the advantage of time and stamina that a 51-year-old doesn’t possess.
Dr. Grumet references the Harvard Adult Developmental Health Study, which found that strong relationships — not achievements or money — most strongly correlate with happiness. He suggests that pursuing activities you enjoy naturally leads to building these vital connections.
The episode closes with a powerful story about his grandfather, who loved math and became an accountant in the 1950s.
This passion influenced Dr. Grumet’s mother to become a CPA, which in turn helped young Jordan develop confidence in math, despite his reading challenges. Years later, this mathematical thinking helped him diagnose a rabbi’s rare condition — proving how small actions can create ripple effects across generations.
By Paula Pant
An anonymous caller’s crypto investments have recently skyrocketed to 17 percent of her investment portfolio. Given the volatility of this asset, should she rebalance it or go all in?
Jocelyn wants to buy a house in three years but she’s reluctant to keep her sizable down payment in cash. What if she splits the difference and invests half the money instead?
Allison feels antsy holding $1 million in cash with falling interest rates on the horizon. How does she optimize this money while keeping it liquid enough to buy a house on an uncertain timeline?
Former financial planner Joe Saul-Sehy and I tackle these three questions in today’s episode.
Enjoy!
